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THE OPENING OF THE INLAND WATERS AND UNIFICATION
OF THE TARIFFS.
| May 7, 1898. past five years cannot be regarded as unsatisfactory, especially when it is remembered that the period includes two plague years, namely, 1894 and 1896. Mr. ROUNSEVELLE WILDMAN, the United States Consul-General, in his recently pub- lished interesting report on "Economic con- ditions in Hongkong" concluded by saying: -"I think Hongkong nay expect a cou- "tinuance of prosperity during the present
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THE HONGKONG WEEKLY PRESS AND profit he won't run steamers; if he has to charge high rates of freight the mer- chant won't ship by his steamers, but by junks, for it must not be forgotten that it is not the British merchant who imports the goods direct into Chungking or Nanning; he sells either in Shanghai or Hongkong to the Chinese and, beyond perhaps getting a transit pass for his buyer, allows them to get the goods to their des- tination by any means they please. To the year. Whatever changes may take place average Chinaman quickness of transit and "in the neighbouring countries, they can corresponding turn over of capital does not hardly fail to bring material advantage appeal; he prefers the immediate advantage
to the colony." That is an accurate view to be gained by the lowness of the junk of the position. With the opening of the freights; so that if there is any advantage inland waters of China and the increase in at all in carriage of goods by steamer, and the number of treaty ports the trade of we wish to see the opening of inland waters Hongkong cannot fail to steadily increase. whereby British goods will be carried in The only cloud that hangs over the colony British ships to every river-side town in is the plague, of which we are now ex- China become anything more than a sonor-periencing another epidemic. This naturally ous and high sounding phrase, it behoves mitigates against our prosperity and is an all, shipowner and merchant alike, to insist enemy against which the whole community on an equal tariff for all gols no matter should work unitedly by placing the colony whence their origin or the means used for in a thorough state of sanitation. their conveyance.
With the opening of the inland waters pending, the present is an opportune moment for calling the attention of the authorities, in whose hands the regulations now are, and the public at large, to the importance of securing the carriage of Chinese goods from place to place in China under an even tariff, no matter whether shipped by steamer or junk, as having a direct relation to the laying down cost of British goods. Hitherto we are afraid that this matter has been re- garded as one which affects the shipowner, and shipowner only, but apart from the consideration that even were such the case, British ships are as much British goods as either woollens or cottons, and putting aside the fact that the greater the circulation and resultant prosperity of the Chinese the greater their buying power, we purpose showing that it is a question which also affects the home manufacturer and mer- chants generally.
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We take it that the expense of the trans- port of goods should be based on the cost of carriage, plus a profit to the shipowner, and should not be affected in any way by the fiscal conditions of the country. A very slight knowledge of the methods of government will serve to convince the enquirer that such is not the case in China; and his investigation, if pursued still fur- ther, will lead to the conclusion that the low junk freights are not so much due to the cheaper cost of carriage as they are to the facilities which these craft enjoy of "arranging " with the lekin for payment of duty on their cargoes. The methods adopted by the lekin authorities to divert cargo from steamers to junks are too well known to need description here. In most cases the principle they work ou is the levy of lekin in addition to Foreign Customs duty on goods from port to port in China, and the lowering of the lekin to below the Foreign Customs duty on those intended for export; nor would there be much objection to this latter, if, as we have heard it asserted, it enabled goods to be laid down at a cheaper rate. What it really amounts to is that the Chinaman is taxed for adopt- ing a quick mode of transit for his goods. It is, however, in its relation to the laying down cost of British goods that this diverting of Chinese goods from steamers concerns us. We will illustrate our meaning. A British steamer has a full cargo of Manchester goods from Shanghai to Chungking or, to come nearer home, say, Hongkong to Nanning. On arrival at Nan- ning there is a half cargo of exports under outward transit pass waiting for shipment; also a balance, enough to fill the steamer, of goods intended for Samshui or Kongmun. Under existing circumstances the Chinese merchant would, if he shipped that balance by steamer, be compelled to pay Foreign Customs duty and a half and also lekin before shipment and after arrival; conse quently in ninety-nine cases out of a hundred he would ship by junk and pay lekin only. The situation then is this: a full cargo of Bri- tish goods, and a half cargo of Chinese goods in- tended for foreign consumption, have to bear the expense (plus a profit to the shipowner) of running that steamer to Naouing and back. Had the steamer been able to fill up, her earnings would have been increased and the proportionate cost of laying down British goods in the Chinese market and Chinese goods in the home market would be lessened.
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If the steamer owner cannot make a
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THE HONGKONG TRADE RETURNS.
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THE CHINA ASSOCIATION'S BAN- QUET TO SIR HENRY BLAKE. Returns of the trade of Hongkong The banquet given by the China Associa- have now been compiled in the Harbour tion to the new Governor of Hongkong was Master's Office for five years. In his a notable function, in more senses than one. report for 1893 the Hon. R. MURRAY It is, if we remember rightly, the first RUMSEY said :- An attempt has been occasion on which a newly appointed Gov- made to gauge the trade of the colony by nor of this colony has been honoured by import and export returns. In the ab- the great and growingly influential Enstern sence of a Custom House it has not been body which has its headquarters in the "possible to tabulate such returns with British metropolis. The gathering on this absolute correctness, but by the courtesy occasion was due, doubtless, to the circum- "of the ship agents and masters returns of stance that the affairs of the Far East are the bulk cargo imported, exported, and now of absorbing interest in the British "in transit have been rendered possible, political as well as the commercial world, "the general correctness of which there is and the demand lately put forward, and no reason to doubt, though a tendency to supported by the British Press, for the under-estimate probably obtains." Somo rectification of the boundaries of Hongkong, time ago the Chamber of Commerce took has drawn special attention to this present exception to the returns On account
British Ultima Thule in Eastern Asia. of their alleged want of accuracy, but so The gathering was notable, too, from the far as they go the returns appear to personality of some of those present. A be of value as a means of gauging the former Governor of Hongkong (Sir G. general volume of trade and enabling us to WILLIAM DES Vaux) occupied the Chair, see whether we are progressing or not, On the last Governor of Hongkong (Sir WIL- comparing the returns for the five years it LIAM ROBINSON) was there to support him, would appear, if we look only at the total an ex-Governor of the Straits Settlements amount of cargo landed, that the trade during and some time Acting Colonial Secretary that period had been unprogressive, but if the of Hongkong (Sir CECIL CLEMENTI SMITH) very variable item of rice be eliminated was present, and the newly appointed from the comparison it will be seen that Governor (Sir HENRY BLAKE) was the there has been a substantial improvement. guest of the evening. The gathering was a The total quantity of cargo landed in the co-large and representative one, there having lony during the five years was as follows:--- been upwards of one hundred and fifty 1893, 2,717,910 tons; 1894, 2,625,610 tons; members and friends of the Association at 1895, 2,760,954 tons; 1896, 2,791,889 tons; the festive board, all of whom are deeply 1897, 2,748,061 tons. Last year, how-interested in the maintenance of British ever, the import of rice amounted only commerce and British prestige in China. to 361,130 tons, as against an average The tone of the speeches would seem to for the previous four years of 712,587 | have been very hopeful. The president, in tons, a falling off of 350,000 tons. Deduct-proposing the toast of the evening, said that ing rice the cargo landed last year Sir HENRY BLAKE assumes the office of amounted to 2,381,931 tong as against Governor of Hongkong under the most 1,955,536 tons in 1893, an increase of over favourable auspices. In returning thanks 21 per cent. The chief defect in the for the honour paid to him the guest of the returns is their want of detail, nearly half evening remarked that whatever might the total imports being lumped together betide, he entertained the most profound under the head of " general." The figures | belief that Great Britain would come out under this head for the five years are as fol-top, and that British interests would ever low:-1893, 1,163,962 tons; 1894, 1,079,676 be paramount (presumably in China). tons; 1895, 1,026,004 tous; 1896, 1,077,090 | From those remarks, telegraphed by Reu tons; 1897, 1,211,700 tons. Sugar, which is ter, it would really seem that strong hopes of especial interest as supporting one of our are entertained at home that the Govern- principal industries, that of sugar refining, ment are negotiating, and will obtain, the shows a steady increase, the import being rectification of the boundaries of Hongkong. as follows:-1893, 168,816 tons; 1894, The favourable auspices of which Sir WIL 170,499 tons; 1895, 185,616 tons; 1896, LIAM DES Vœux spoke cau hardly 186,759 tons; 1897, 211,777 tons. On refer to the actual "local conditions: the whole the trade returns for the ❘ they must surely be sought for in
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